Marketing

LESSON 101

What is marketing?
The

management process through

which goods and services move
from concept stage to the hands of
the customer. It includes the
coordination of four elements
called the 4 P's of marketing

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Needs, wants
demands

Products

Utility, Value &

Satisfaction

Xchange, Transaction
Relationships

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

External
Analysis:

Internal
Analysis:

Macro/micro
environment
, Porters 5
forces

Analyze all
functions,
5M
framework,
Portfolio
analysis

Marketing
Strategy

Marketing
Tactics

Internal +
External
Analysis:
SWOT
Analysis

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Situational Analysis

External environment analysis

(PEST = Political-legal, Economic-demographic, Sociocultural, and Technological)

Micro environment analysis (Value Chain Analysis =

Customers, Competitors, Suppliers & Distributors)

Industry or competitive analysis (Porters 5 Forces

Analysis)

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Situational Analysis
The bargaining power is
with the buyers owing to
the stiff competition

Very limited threat of

new entrants as the
two players are well
established

Threat of
New
Entrants

buyer
power

supplier
power

Rivalry
among
existing
firms
Porters 5 Forces

In general the
bargaining power of
suppliers is limited as
most of the supply comes
from developing nations

The threat of
substitutes is more as
people are observed to
switch to other hot drinks

Threat of
substitut
e
products

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Marketing Objectives

Specific

Measurable

Achievable

Realistic

Time-bound

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Segmentation
Targeting
Positioning

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Segmentation
Targeting
Positioning

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Market segmentation is the process of

dividing the total market for a good or
service into several smaller, internally
homogeneous groups.

Segmentation is necessary
because customers in a
market have:

Differences in buying habits

Differences in the way the good

or service is used

Different motives for buying

Core
Concepts of
Marketing

Segmentation
Targeting
Positioning

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Segmentation
Parameter

Sample Segments

Geographic

Continents: N America, Asia, Europe,

Africa
Within India: North, west, south etc.

Demographic

Age, gender, income, Cohort,

household type

Psychographic

VALs (Innovators, thinkers, achievers,

experiencers, believers, strivers,
makers and survivors)

Benefits

Convenience, economy, prestige

Geo-demographic

Urban, established, sophisticated town

houses, affluent retirees

Loyalty

Not loyal, somewhat loyal, completely

loyal

Usage Rate

Heavy, Moderate & Lower (Paretos

Law 80/20 principle)

Occasions

Festivals, Everyday shopping list, self

indulgence

Core
Concepts of
Marketing

Situational
Analysis

Segmentation
Targeting

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Targeting is the process of evaluating

different segments and focussing on those
which are most likely to yield the maximum
benefits

Positioning

Differentiable
Accessible

Substantial

Measurable

Segment
Attractiveness

Actionable

Core
Concepts of
Marketing

Situational
Analysis

Segmentation
Targeting
Positioning

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Positioning refers to the consumers

perception of the product and its benefits
in relation to its competitors. The aim is to
occupy a clear, distinct and desirable space
in the mind of the customer

Core
Concepts of
Marketing

Situational
Analysis

Segmentation
Targeting
Positioning

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Identify possible differences and

competitive advantages - explore
Identify services, channels, people, image etc.

How many differences to promote ?

Chose Which differences to promote ? IDSCAP

Select the right overall positioning

strategy.
Select
Develop a statement To target
Devel segment, our brand is concept that
creates point of difference
op

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Sample Positioning Statement

Frameworks

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Sample Positioning
Statement

Marketing
Strategy

Marketing
Tactics

Tide HE Turbo is theHE detergentthat

deliversmore time and water saving, 6X
more cleaning powerbecause onlyTide HE
Turbohas proprietary, quick-dissolving
Smart Suds technology that helps prevent
HE Machines from running additional rinse
cycles

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Core
Concepts of
Marketing

Situational
Analysis

Marketing
Objectives

Marketing
Strategy

Marketing
Tactics

Product Life Cycle

Innovation Adoption Model

AIDA

AIDA

ANSOFF MATRIX

Audit and Control

Audit and Control involves constant monitoring
during implementation to ensure that the intended
outcomes are achieved.

Operating Control
Monitor sales and profits
against projections and annual
plans
Take corrective action as and
when necessary

Strategic Control
Ensure current strategies are
matched to opportunities
Periodically assess overall
approach to the marketplace